Swvl, MPL lay off employees citing drying funds, pandemic

Since the pandemic started, over 1.25 lakh employees have lost their jobs across the world.

0
22617

The Dubai-based mass transit solutions startup, Swvl, will lay off 32 per cent of its workforce. The objective is to enhance business efficiency, reduce costs and ensure positive cash flow in the coming year, the Company announced.

Around 400 of its employees, out of a total of about 1300, will be fired, Swvl said in a press release, stating that these reductions will help it channelise energies towards on the recently-automated roles, where it has invested significantly, that is, in the engineering, product and support functions.

The bus-hailing company also said that it plans to provide monetary and job-placement assistance to help some of its employees move into alternative roles.

Meanwhile, another startup, Sequoia Capital-backed Mobile Premier League (MPL), which is a gaming platform, laid off its 100 employees, while exiting Indonesia. The Bangalore-based company, MPL, has stopped its streaming product on the app too.

The employees were reportedly informed about the decision via e-mail. The mail stated that the last few months were not in their favour. Sai Srinivas and Shubh Malhotra, co-founders, MPL, said, “The philosophy of growth at all costs is now reversed. The market is now rewarding profitable growth over growth at all costs”.

Meanwhile, according to the investment banking platform, Maple Capital Advisors’ report, gaming startups in India have attracted deals worth than $1.6 billion in 2021, exceeding the total value of investment in the sector in the last five years.

Comment on the Article

Please enter your comment!
Please enter your name here

six + five =